Filinvest Land Lists 10x Oversubscribed PhP11.9B bonds

Filinvest Land, Inc. (PSE: FLI) successfully raised PhP11.9 billion for its refinancing and capital expenditure program through the issuance of 3-year and 5-year peso fixed-rate bonds. The Gotianun-led property arm’s bond was almost 10 times oversubscribed over the base amount of PhP8.0 billion. The bonds, which attained the highest PRS Aaa rating from the Philippine Rating Services Corporation (PhilRatings), was listed in the Philippine Dealing & Exchange Corp. on June 23, 2022.

The funding tapped from the bond market will allow the company to partially finance its capital expenditure program and refinance maturing debt. The proceeds of this bond issuance will add to its internally generated funds in support of its continued expansion in the affordable and middle-income residential development. “We have a strong line up of over PhP30 billion new residential projects to be rolled out in the coming year in new territories and expansions in our 32 existing MRB townships nationwide. We target to launch in new areas like Bataan, Sta Maria in Bulacan, Naga in Camarines Sur, and in General Santos, South Cotabato. Housing continues to grow at a stable rate despite the pandemic. We expect this to further grow as we transition out of the pandemic,” said FLI President Tristan Las Marias.

“We have also introduced new recurring business products such as co-living, co-working, and logistics and innovation parks with ready built warehouses. Our first co-living development which we have branded as “The Crib” located in Clark Mimosa is eager to welcome its first dormers, with the first two buildings set to be operational very soon. There are also two more Crib buildings under construction. On the other hand, we envision our Innovation Park in New Clark City in Tarlac and Filinvest Technopark in Calamba, Laguna to be the preferred location of logistics, data centers, e-commerce, light manufacturing, and storage business operators. This will add to our portfolio of recurring income projects which we aim to infuse into Filinvest REIT (FILRT) at the right time,” said Chief Executive Officer Josephine Gotianun Yap.

This latest bond issuance will be the third and final tranche out of its PhP30.0 billion bonds registered in 2020 under the shelf-registered program of the Securities and Exchange Commission (the “Shelf Registered Bonds”). The Company issued the first tranche of the Shelf Registered Bonds on November 18, 2020 in the amount of Php8.1 billion and the second tranche on December 21, 2021 in the amount of PhP10 billion.

The Company mandated BDO Capital & Investment Corporation, BPI Capital Corporation, China Bank Capital Corporation, East West Banking Corporation, First Metro Investment Corporation, RCBC Capital Corporation and SB Capital Investment Corporation (collectively, the “Joint Lead Underwriters and Bookrunners”) to manage this public offer and issuance. China Banking Corporation-Trust and Asset Management Group shall serve as the Trustee.

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